St. Paul, MN (December 10, 2019) — According to the United States Manufacturing Technology Orders (USMTO) Report published by AMT – The Association for Manufacturing Technology, U.S. manufacturing technology orders totaled $376 million in October 2019.
October orders increased 2 percent over September 2019. New orders placed in October 2019 fell 21 percent from October 2018, which was one of the best Octobers in USMTO history.
Despite month over month gains, the gap between the year-to-date totals grew larger with the addition of October data. Orders placed to date in 2019 totaled $3.75 billion, a decrease of 18.4 percent from the annual total through October 2018.
The industrial machinery manufacturing sector experienced robust growth in October 2019. Orders from machine shops grew at a modest pace but have not returned to their later-summer levels. The automotive sector increased orders by about 40 percent in October, while the aerospace sector decreased orders by slightly over ten percent.
“Since March, job shops have accounted for an unusually large share of orders, reflecting the fact that large players deflected capital spending decisions to their sub-tier supply chain,” said Douglas K. Woods, president of The Association for Manufacturing Technology.
That trend began a reversal in October, however, as companies of all sizes placed orders. Our research and the data point to a shifting of capital investment activity from small companies downstream to tier two and one suppliers.
Based on quotations activity, orders in November and December are likely to be from larger companies expiring their capital spending budgets rather than small manufacturers continuing to invest at their second and third quarter rates.”
“It’s clear that a lack of stability in the market coupled with the shifting winds on trade issues are dampening U.S. manufacturers’ enthusiasm for investing in new capital equipment. At the same time, we are nearly halfway through the Tax Reform’s five-year window of providing lower tax rates and investment incentives. The former creates instability, and while the latter should be creating an urgency to invest, our analysts and leading industry economists believe that the confluence of drivers will yield a positive impact on the market in late 2020 and throughout 2021.
With such positive economic indicators, now is the time to take advantage of Matsuura’s 2019 Year End Sales Event. Customers are encouraged to contact their local Matsuura Distributor for information and availability.
- Most Matsuura Models in Inventory Included
- Special Financing Options Available
- Act now to take advantage of substantial tax savings and lower your cost of ownership
- Savings Subject to Inventory
Matsuura Machinery USA, Inc., located in St. Paul, MN is the U.S. subsidiary of Matsuura Machinery Corporation in Japan. Since 1935, Matsuura has been the forerunner in designing innovative technology and manufacturing solutions to a variety of industries around the globe. Matsuura Machinery USA, Inc. delivers unmatched excellence in 5-axis, vertical, horizontal, linear motor, multi-tasking CNC machine tools and machines with a powder bed metal AM platform with machining capability. Matsuura Machinery USA, Inc. provides the service, applications and technical field support that have always been the Matsuura standard for business.
For more information about Matsuura, please contact: [email protected] or visit: www.matsuurausa.com.
Thank you to IG: frontier_mfg in Tucson AZ for this great photo.